The records of fixed assets will be kept for financial and fiscal purposes per each fixed asset. The classification per categories of property will be excluded, according to the draft fiscal and customs policy document for 2018, IPN reports.

It is also suggested introducing a new method of determining the wear and tear of fixed assets for fiscal purposes – the liner one, which provides more advantages such as simplification of the determination way both for the business entity and the inspection body, diminution of the time and personnel needed to determine and keep a record of wear and tear and exclusion of the risk of mistakes in the determination process and punishment by inspection bodies. According to the Ministry of Finance, a balance will be thus ensured and it will be possible to estimate the costs allowed for deduction given that the fiscal losses are reported in arbitrary sizes.

The independent think tank “Expert-Grup”, in a press release centering on the main fiscal and customs policy measures for next year, say the linear method for determining wear and tear for fiscal purposes is advantageous to only particular types of business. This will serious affect some of the business entities that want to invest in fixed assets with a functioning life of over three years. This measure will become a major impediment to investing own resources and will reduce further the level of private investments. The proposal contains no assessment of the impact on new investments and development of businesses and a broad consultation with business circles is needed before applying this.